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MS© The Financial Feasibility of Using Shelterbelts for Swine Odor Mitigation Photos: P. Schultz John Tyndall, Iowa State University Robert Grala, Mississippi.

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Presentation on theme: "MS© The Financial Feasibility of Using Shelterbelts for Swine Odor Mitigation Photos: P. Schultz John Tyndall, Iowa State University Robert Grala, Mississippi."— Presentation transcript:

1 MS© The Financial Feasibility of Using Shelterbelts for Swine Odor Mitigation Photos: P. Schultz John Tyndall, Iowa State University Robert Grala, Mississippi State University

2 Analysis Assumptions Four test hog finishing farms: 2 primary odor sources –Farm (buildings & storage) –Manure application field C. Iowa wind patterns Manure Application field –Liquid = 2,500 gals/acre –Solid = 46 tons/acre Iowa’s summer winds : south, southeast, and southwest Iowa’s summer winds : south, southeast, and southwest May – August

3 Model Swine Farm and shelterbelt system details. Farm A – Full confinement facility Farm B– Full confinement facility Farm C– Full confinement facility Farm D – Hoop Barn Facility Annual Pig Production10,5002,5002,0001,500 Building Ventilation TypeTunnelMechanicalNatural Manure StorageAbove ground concrete Earthen manure pit Above ground concrete Solid/bedding Farm Acreage2.391.380.900.83 Number of trees Planted530250380221 Number of Shrubs Planted1205015075 Application Field Acreage66016010025 Number of Application Field Trees 2,1451,045835395

4 Two row Shelterbelt in Ogden, Iowa Photo: G. Horvath Shelterbelt Assumptions

5 Two row Shelterbelt in Ogden, Iowa Photo: G. Horvath Shelterbelt Assumptions Farm Shelterbelts = 5’ – 6’ b/w trees, 4’ – 5’ b/w shrubs Field Shelterbelts (two rows) = 10’ b/w trees About 10% mortality Yrs 2 - 6 Specific species not designated

6 Cost Scenarios Two row shelterbelt planted around an manure lagoon in Central Iowa Photo: A. Hawkins

7 Cost Scenarios Two row shelterbelt planted around an manure lagoon in Central Iowa Planting Stock: Seedling Price scenario = $0.75/ tree & shrub Weighted Ave High price = $9.59 Average / tree & shrub Maintenance: i.e. mowing, spraying “treatment” strip = 10’ x 5820’ Cost Share Programs: EQIP = 75% establishment cost share CRP Iowa = 90% cost share + incentives/acre Photo: A. Hawkins

8 100’x15’ Tunnel Vents Concrete Manure Store Access Road Pit Vents Snow Deposition zone – min 150’ Minimum of 10 H between tree row and building wind rose for Central Iowa June – Aug NN Nov – Feb Min 10 x diameter of fans Tunnel Ventilation 10,500 head/year Main Highway Not to scale = R. Osier Dogwood = E. Red Cedar = Austree willow Farm = 530 trees & 120 shrubs Field = 2,145 trees Example

9 Wind rose for Central Iowa June – Aug NN Nov – Feb Natural Ventilation 1,500 head/yr Access road Hog Building Pit vents Wider spacing between trees (25’ +) Minimum of 10 H between tree row and building Main summer wind filter zone and winter windbreak Min 150’ Snow deposition area Not to scale = R. Osier Dogwood = E. Red Cedar = Austree willow Farm = 122 trees & 145 shrubs Field = 394 trees Example

10 Basic Financial Models 1)PVC = PVSB SP + PVSB E + PVSB M 2)PVC = PVSB SP + PVSB E + PVSB M - PV CShare Converted to Equal Annual Value (EAV) over 20 yrs @ Real Alternative Rate of Return = 7 % ’s #

11 Economics: Cost Summary Examining upfront costs for site prep, planting stock, planting & maintenance costs over time: –Low Cost scenario (≈$0.75/tree) over 20 years: Seedling stock ≈ $0.03/pig produced –High Cost scenario (≈$11/tree) over 20 years: Larger, balled and burlaped stock ≈ $0.33/pig produced With extensive drip irrigation add ≈ $0.008/pig

12 Shelterbelt Cost vs. Odor Mgt Expenditures Seedling Price Scenarios $ 0.24 $ 0.37 $ 0.69 $ 0.24 0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 Farm A - 10,500 Head Farm B - 2,500 Head Farm C - 2,000 Head Farm D - 1,500 Head Dollars ($) per head Expenditures W/out EQIP EQIP Data: Tyndall and Grala, 2007 and USDA, 1996 VEB Economics

13 Shelterbelt Cost vs. Odor Mgt Expenditures Seedling Price Scenarios $ 0.24 $ 0.37 $ 0.69 $ 0.24 0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 Farm A - 10,500 Head Farm B - 2,500 Head Farm C - 2,000 Head Farm D - 1,500 Head Dollars ($) per head Expenditures W/out EQIP EQIP Shelterbelt Cost vs. Odor Mgt Expenditures High Price Scenarios $ 0.37 $ 0.69 $ 0.24 0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 Farm A - 10,500 Head Farm B - 2,500 Head Farm C - 2,000 Head Farm D - 1,500 Head Dollars ($) per head Expenditures W/o EQIP EQIP Data: Tyndall and Grala, 2007 and USDA, 1996 VEB Economics

14 25% of Iowa’s Producers WTP = 0 75% of Iowa’s Producers are Willing To Pay for VEB’s Iowa Pork Producer Demand Curve for VEB’s 60%13% Data: Tyndall, 2007 VEB Costs $0.03/ Head VEB Costs $0.33/ Head

15 Bottom Line Conclusions Inexpensive technology – But it IS a cost In most cases, well below producer WTP Monetary room for multiple odor management strategies Cost Share programs very important Shelterbelts as an EQIP BMP

16 Contact Info: Dr. John Tyndall Phone: 515.294.4912 jtyndall@iastate.edu


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